Renting property of your son.

[hannah40]

We live in privately rented accomadation ,but my 80yrold mum is unwell and i would like to move closer to her.we have looked into renting a house in her area but it is far more than where we live now.My 27yrold son who is married and have there own home said he could get a mortgage and buy a house and rent the property out to me but where do i stand legally if we did this?would he have to pay alot of tax on the rent i gave him?or can i pay the mortgage cokpany direct also how much are legal fees when buying because i would probably pay them for him?

[redcrx]

he would need a buy to let mortgage, so would also need a hefty deposit, legal fees would vary and of course he would have stamp duty to pay.
Tax would be payable on any profit he made from renting the property out

[hannah40]

is profit what you have made after paying off the mortage?

[redcrx]

http://www.thisismone...uy-let-pay-less.htmli think your son ought to look at whether he can get a mortgage in the first instance though.

[redcrx]

http://www.thisismone...t-mortgage-rates.html this gives some ideas of LTV figures, plus any application fees as well as interest rates from lenders.

[hannah40]

yes he can get a mortgage through his father in law who is a bank manager and they have a large deposit to put down .

[redcrx]

so his father in law ought to be able to give him an idea on costs then.